The Organization of Petroleum Exporting Counties (OPEC) today has agreed to cut its oil production for the first time since 2008, according to several media reports citing delegates to the talks in Vienna.

Details of the reported deal are still emerging, but it is said to include a collective reduction of the cartel's output to 32.5 million barrels per day (bpd), a decline of around 1.2 million bpd.

As to where the cuts will be made, CNBC quoted an unnamed source as saying Saudi Arabia will drop its production to 10.07 million bpd, down from 10.54 million bpd in October, while Iran will simply freeze its output at 3.797 million bpd.

Cuts by some non-OPEC suppliers amounting to 600,000 bpd are also expected as part of the pact.

"The economics of this deal made so much sense for everybody involved," Jeff Currie, Goldman Sachs' head of commodities research, told Bloomberg TV.

The news caused crude prices to jump over seven percent Wednesday, and analysts have been quick to talk of $50-$60/bbl as the being the new normal range for crude.

Bunker suppliers Wednesday were already indicating an associated uptick in their prices.